What happens if a Dryject franchisee does not have enough money in their account to cover the transfer?
Dryject Franchise · 2025 FDDAnswer from 2025 FDD Document
I (We, if joint account) the undersigned hereby authorize DryJect Management, LLC, a Pennsylvania limited liability company, with principal offices at 307 Lincoln Avenue, Hatboro, Pennsylvania 19040, to initiate electronic transfer of funds out of my (our) primary Checking or Savings selected below at the Financial Institution indicated, for payment of Royalty Service Fees or other amounts which I may owe DryJect Management, LLC. I (We) acknowledge that the origination of Automated Clearing House (ACH) transactions to my (our) account must comply with the provisions of the United States law. All costs and expenses, including any resulting from the dishonor by my (our) bank of any electronic funds transfer, shall be my (our) sole responsibility. This authorization is irrevocable and shall remain in effect until the termination or expiration of the underlying Franchise Agreement with DryJect Management, LLC. If I (we) do not have enough money in my (our) account to cover the transfer or if my (our) Financial Institution for any other reason refuses to honor a transfer, I (we) will separately pay for the charges I (we) owe under my (our) Franchise Agreement with DryJect Management, LLC.
Source: Item 8 — BUSINESS RELATIONSHIP (FDD pages 68–229)
What This Means (2025 FDD)
According to Dryject's 2025 Franchise Disclosure Document, if a franchisee does not have sufficient funds in their account to cover an electronic funds transfer (EFT) for Royalty Service Fees or other amounts owed to DryJect Management, LLC, the franchisee is still responsible for paying those charges. Specifically, the franchisee must separately pay the amounts owed under their Franchise Agreement with DryJect Management, LLC.
This means that Dryject franchisees cannot rely on a lack of funds in their account to avoid payment obligations. The franchisee remains liable for all fees and amounts due, regardless of whether an attempted EFT is successful. This policy is part of the Electronic Funds Transfer (EFT) Authorization Agreement that franchisees must agree to.
Furthermore, the FDD states that all costs and expenses resulting from the dishonor of any electronic funds transfer by the franchisee's bank are the franchisee's sole responsibility. This includes any fees or charges assessed by the bank due to insufficient funds or other reasons for refusing the transfer. The authorization for EFT is irrevocable and remains in effect until the termination or expiration of the Franchise Agreement.
In practical terms, a Dryject franchisee needs to ensure they maintain sufficient funds in their designated account to cover all Royalty Service Fees and other amounts owed to Dryject Management, LLC, to avoid additional charges and potential breach of the Franchise Agreement.